Subject of Possible Rule Making: This rule making
proposes to adopt requirements for mercury emissions from
coal-fired power plants into chapter 173-406 WAC. A new
federal rule establishes a national cap on mercury emissions
and gives each state a mercury budget. States may adopt the
federal rules or they may adopt rules that are more stringent.
The rule will establish Washington state requirements in lieu
of the federal rule, opting out of mercury trading and
establishing emission standards through a phased approach. A
major part of this rule making will be developing a
methodology to distribute allocated mercury emission credits
in Washington state. Requirements for new units under the
NSPS program will be adopted by reference, and adopting more
stringent requirements may be considered. This action will
also change the name of the rule from the acid rain rule to
the electric generating unit rule, adopt the federal
requirements for the acid rain program by reference, and
delete the existing duplicative state rule language.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: These rules will implement the federal
clean air mercury rules adopted by EPA in May 2005. The
federal rules have state air agency requirements that begin in
2006 and source specific requirements that begin in 2009.
EPA's scheme will apply in Washington state if we fail to
adopt our own rules by November 2006. We intend to submit the
rules developed in this process to EPA for approval by
mid-February 2007. The state rules will substitute for the
federal rules once EPA approves the submittal. The Washington
state rules will establish our procedure to distribute
allocated mercury emissions to coal-fired power plants and
determine when emissions trading will and will not be allowed
in Washington. Establishing a stringent emission limit would
be part of the mercury emissions distribution plan and will
require Trans Alta, currently the sole coal-fired power plant
in Washington, to install controls to meet the limit.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: EPA Region 10, energy facility site evaluation
council, as the agency responsible for permitting new energy
facilities in Washington, and to a lesser degree, community,
trade and economic development, will be involved in this
effort. They will be part of the stakeholder group assisting
with the rule development effort.

Process for Developing New Rule:
This rule making is to
amend an existing rule. Amendments to the rule will be
drafted and reviewed internally and by an advisory group. The
public will be provided with the opportunity to comment on the
proposed rule. At least one public hearing will be held. The
proposed amendments will be posted on the agency web site and
provided to parties that have identified themselves as
interested parties.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication. Interested parties can access more information
on this rule making by contacting Elena Guilfoil, Department
of Ecology, P.O. Box 47600, Olympia, WA 98504-7600, phone
(360) 407-6855, fax (360) 407-7534, e-mail EGUI461@ecy.wa.gov,
or accessing the ecology web site
http://www.ecy.wa.gov/law/rules/index.html.